Open Access Original Research Article

Risk and Benefit of Outsourcing in Southern Part of Ethiopia: A Case of MAA Garment and Textile Factory

Moges Assefa

Asian Journal of Economics, Business and Accounting, Page 1-7
DOI: 10.9734/ajeba/2020/v15i230208

The main objective of this study is to assess the perceived and existed benefits and problems of outsourcing on two outsourced functions of the organization. To select respondents for this study purposive sampling were used. The collected questionnaires were analyzed by using Statistical Package for the Social Sciences (SPSS) computer program. As result of the study indicated both outsourced functions brought many benefits to the organization. The most important benefits are focus on core activities, Cost and efficiency saving, continuity and risk management and operational control. Hence, the managers of the organization have gotten relief on following the routine problems which is related to noncore activities. On the contrary, the factory faces little challenges which can easily avoided, these are Loss of managerial control, Bad publicity and Tied to the financial well-being of other company.

Open Access Original Research Article

Employee Rewards and Its Performance Implication: A South Eastern Nigeria Experience

Gerald Emejulu

Asian Journal of Economics, Business and Accounting, Page 8-15
DOI: 10.9734/ajeba/2020/v15i230209

The seeming unending controversy between employers and employees in the workplace which have most often led to some sort of faceoff between both parties necessitated this study which looked at employee rewards and how it impacts on job performance of civil servants in South East of Nigeria. The work was anchored on Victor Vroom’s Expectancy Theory. Descriptive survey design was adopted for the study. The population of the study was 26,741 civil servants from South Eastern States of Nigeria. A sample size of 5136 was arrived at through the application of Borg and Gall method. Data were collected using structured questionnaire and were analyzed using Pearson Product Moment Correlation Coefficient while hypotheses were tested at 0.05 (5%) significance level. The study revealed that there was a statistical significant relationship between employee recognition and performance in civil service in South East of Nigeria (r = .819, p-value < 0.05) and that there was a statistical significant relationship between staff development and employee performance in civil service in South East of Nigeria (r = .586, p-value < 0.05). Sequel to this, it was concluded that reward systems has significant performance implication for civil servants. Following this, it was recommended among other things that it is the duty of government to fashion out best methods of recognizing employees who distinguish themselves while carrying out their assigned tasks and that government needs to always identify training needs of the workers through effective performance appraisal and staff development practices.

Open Access Original Research Article

The Impact of the Debt Ratio, Total Assets, and Earning Growth Rate on WACC: Evidence from Nepalese Commercial Banks

Prem Bahadur Budhathoki, Chandra Kumar Rai

Asian Journal of Economics, Business and Accounting, Page 16-23
DOI: 10.9734/ajeba/2020/v15i230210

This study examined the impact of the debt ratio, total assets, and earnings growth rate on banks’ WACC. This study employed bank scope data of twenty-eight commercial banks during the single period of 2018. Altogether, there were 28 observations were made in the study. The ordinary least squares model was used to analyze the data. The results indicated that two predictor variables debt ratio and total assets significantly affected the bank’s WACC. But the predictor variable earnings growth rate did not significantly affect banks’ WACC. The results of this study could help bankers and policymakers to take effective action to reduce banks’ WACC.

Open Access Original Research Article

Effects of Strategic Management on Organizational Performance in Manufacturing Firms in South-East Nigeria

Onyekwelu Njideka Phina

Asian Journal of Economics, Business and Accounting, Page 24-31
DOI: 10.9734/ajeba/2020/v15i230211

This study investigated the effect of strategic management on organizational performance with particular reference to some manufacturing firms in South-East Nigeria. The study is anchored on classical theory and resource-based theory. The population of the study is comprised of 1200 employees while the sample size consisted of 300 employees of the selected manufacturing firms through the use of Taro Yamane’s formula. Multiple regression analysis was employed to analyze the data generated. It was discovered that all the strategic processes including strategy objective, strategy formulation, Strategy implementations and Strategy evaluation had significant effects on organizational performance of manufacturing firms in South East, Nigeria. The study therefore concluded that strategic management has significant effect on organizational performance in South East, Nigeria. Hence, it was recommended that strategic objective should be in line with the objective of the organization in order to achieve organizational objective and effective employee performance. Also, that organization should seek more input from the lower level managers and supervisors when formulating strategy so that the formulated plans will be effective and in line with both long and short term objectives of the organization.

Open Access Original Research Article

New Insights into Export-growth Nexus: Wavelet and Causality Approaches

Tomiwa Sunday Adebayo

Asian Journal of Economics, Business and Accounting, Page 32-44
DOI: 10.9734/ajeba/2020/v15i230212

It is observed that exports play a significant role in economic expansion. Thus, this study tends to shed more light on the export and economic growth interaction in Nigeria using data between 1981 and 2018. Due to inconclusiveness in the literature, this study employs a more superior econometric technique to ascertain this link. Econometrics techniques utilized include ARDL, Toda Yamamoto causality, variance decomposition and wavelet coherence techniques. Findings from the study show; (i) there is cointegration among the variables utilized; (ii) there is evidence of synchronization hypothesis; (iii) gross capital formation, gross domestic savings, and export have a positive and significant impact on economic growth with foreign direct investment having an adverse effect; (iv); unidirectional causality was found running from gross capital formation, gross domestic savings and foreign direct investment to economic growth; (v) the wavelet coherence approach provide a supportive evidence for the ARDL and causality tests; and (vi) economic growth can predict a significant variation in export in the tenth year. Various recommendations were suggested based on these findings.